SAQA

All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.

SOUTH AFRICAN QUALIFICATIONS AUTHORITY

REGISTERED UNIT STANDARD THAT HAS PASSED THE END DATE:

Perform basic forex market calculations

SAQA US ID	UNIT STANDARD TITLE
13375	Perform basic forex market calculations
ORIGINATOR
SGB Banking and Micro Finance
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
BANKSETA - Banking Sector Education and Training Authority
FIELD			SUBFIELD
Field 03 - Business, Commerce and Management Studies			Finance, Economics and Accounting
ABET BAND	UNIT STANDARD TYPE	PRE-2009 NQF LEVEL	NQF LEVEL	CREDITS
Undefined	Regular	Level 4	NQF Level 04	8
REGISTRATION STATUS		REGISTRATION START DATE	REGISTRATION END DATE	SAQA DECISION NUMBER
Passed the End Date - Status was "Reregistered"		2018-07-01	2023-06-30	SAQA 06120/18
LAST DATE FOR ENROLMENT		LAST DATE FOR ACHIEVEMENT
2024-06-30		2027-06-30

In all of the tables in this document, both the pre-2009 NQF Level and the NQF Level is shown. In the text (purpose statements, qualification rules, etc), any references to NQF Levels are to the pre-2009 levels unless specifically stated otherwise.

This unit standard does not replace any other unit standard and is not replaced by any other unit standard.

PURPOSE OF THE UNIT STANDARD

This unit standard is for people who are able to process basic mathematics in Foreign Exchange markets.

The qualifying learner is capable of:

Demonstrating an understanding of the conventions and calculations of Spot Exchange transactions

Demonstrating an understanding of the conventions and calculations of Forward Outright transactions

Explaining and applying the conventions and calculations of Foreign Exchange Swap transactions

LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING

The learner must be able to locate and apply company policies and procedures as they relate to the Foreign Exchange market. This unit standard is intended for those individuals who are new entrants into the Forex market, who wish to learn the basic computational techniques employed in Forex.

UNIT STANDARD RANGE

Within the context of a treasury, foreign exchange or investment environment.

Specific Outcomes and Assessment Criteria:

SPECIFIC OUTCOME 1

Demonstrate an understanding of the conventions and calculations of spot exchange transactions

ASSESSMENT CRITERIA

ASSESSMENT CRITERION 1

1. The base currency and direct/indirect quotation conventions are explained.

ASSESSMENT CRITERION 2

2. Bid-offer quotes and spreads are correctly interpreted.

ASSESSMENT CRITERION 3

3. Bid-offer cross rates are calculated.

ASSESSMENT CRITERION 4

4. Profit or loss on positions is calculated.

SPECIFIC OUTCOME 2

Demonstrate an understanding of the conventions and calculations of forward outright transactions

ASSESSMENT CRITERIA

ASSESSMENT CRITERION 1

1. The concept of cost of carry, the various funding sources, and this calculation's role in the derivatives market is explained.

ASSESSMENT CRITERION 2

2. Forward points and forward discounts/premiums are defined.

ASSESSMENT CRITERION 3

3. Market quotations are interpreted.

ASSESSMENT CRITERION 4

4. Bid-offer cross rates are derived.

ASSESSMENT CRITERION 5

5. The interest rate parity theory is applied to pricing.

ASSESSMENT CRITERION 6

6. The arbitrage-free forward price is correctly calculated.

SPECIFIC OUTCOME 3

Explain and apply the conventions and calculations of Foreign Exchange swap transactions

ASSESSMENT CRITERIA

ASSESSMENT CRITERION 1

1. The swap structure and market quotation conventions are explained.

ASSESSMENT CRITERION 2

2. The relationship between swap prices and money market rates is explained.

ASSESSMENT CRITERION 3

3. Bid-offer cross rates are correctly derived.

ASSESSMENT CRITERION 4

4. The applications of Foreign Exchange swaps are demonstrated.

UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS

Accreditation for this Unit Standards shall be from the relevant education and Training Quality Assurer through formative and summative assessment by a registered Assessor. Assessment should be contextual and be conducted in the workplace as far as possible.

The relevant NSB and SGB should be notified of any feedback related to this qualification.

Assessors must be registered as an Assessor with the relevant ETQA

Moderators must be registered as assessors with the relevant ETQA

Training providers must be accredited by the relevant ETQA

Moderation should include both internal and external moderation where applicable

The relevant ETQA will co-ordinate all moderation activities in accordance with their policies and procedures.

UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE

Learners can:

1. Apply an understanding of the conventions and calculations of spot exchange transactions and forward outright transactions.
2. Process basic mathematics in foreign exchange markets.

UNIT STANDARD DEVELOPMENTAL OUTCOME

N/A

UNIT STANDARD LINKAGES

N/A

Critical Cross-field Outcomes (CCFO):

UNIT STANDARD CCFO IDENTIFYING

The learner is able to identify and solve problems relating to the completeness, correctness and accuracy of the information received.

UNIT STANDARD CCFO COMMUNICATING

The learner is able to communicate effectively using basic mathematical and/or language skills in the modes of oral and/or written persuasion when communicating with relevant parties regarding the application.

UNIT STANDARD CCFO SCIENCE

The learner is able to use science and technology effectively and critically in applying the use of the company system to process applications.

UNIT STANDARD ASSESSOR CRITERIA

N/A

REREGISTRATION HISTORY

As per the SAQA Board decision/s at that time, this unit standard was Reregistered in 2012; 2015.

UNIT STANDARD NOTES

Terminology:

The Learner should be able to define and contextualise the following terms:

Arbitrage, Bid offer cross rates, Forward, Forward points, Outright rates, Parity Theory, Spot Exchange Transactions, Swap prices.

Values:

The use of tasks and materials in the learning event plan should not discriminate against learners on any grounds prescribed in the Bill of Rights and should promote the orientations outlined in the critical cross-field outcomes.

QUALIFICATIONS UTILISING THIS UNIT STANDARD:

	ID	QUALIFICATION TITLE	PRE-2009 NQF LEVEL	NQF LEVEL	STATUS	END DATE	PRIMARY OR DELEGATED QA FUNCTIONARY
Elective	20185	Further Education and Training Certificate: Banking	Level 4	NQF Level 04	Passed the End Date - Status was "Reregistered"	2023-06-30	BANKSETA

PROVIDERS CURRENTLY ACCREDITED TO OFFER THIS UNIT STANDARD:

This information shows the current accreditations (i.e. those not past their accreditation end dates), and is the most complete record available to SAQA as of today. Some Primary or Delegated Quality Assurance Functionaries have a lag in their recording systems for provider accreditation, in turn leading to a lag in notifying SAQA of all the providers that they have accredited to offer qualifications and unit standards, as well as any extensions to accreditation end dates. The relevant Primary or Delegated Quality Assurance Functionary should be notified if a record appears to be missing from here.

1.	Assured Vocational Skills Institute (Pty) Ltd
2.	Brainwave Project 707 Pty Ltd
3.	Brainwave Projects 707
4.	Compuscan Academy
5.	dc academy
6.	Fachs Business Consulting and Training
7.	Legal Practice Academy
8.	Matibidi Raphela Investments (Pty) LTD
9.	Octopus Training Solutions
10.	Production Management Institute of Southern Africa
11.	Signa Academy
12.	SIGNA ACADEMY (PTY) LTD
13.	Sinovuyolethu Trading (Pty) Ltd
14.	THE SHERQ CENTRE OF EXCELLENCE PTY LTD
15.	Welltec Academy (Pty) LTD